The deadlock due to the labour unrest that was going on for more than 10 day in JK paper mill finnaly came to an end on 25th Dec. After rounds of meetings and negotiations between the managent and one contractual labour union, the matter could not be solved. Initially the demand was of wage parity between the contractual and regular unskilled labour. From the earlier daily wage rate of 102 odd plus 7 more in form of subsidies, the labour unions demanded a wage hike of Rs. 200, taking the daily wages to more than Rs. 300. For a week there was no decision. The district administration had intervened through the District Labour officer, making it very clear that it will only facilitate the negotiations and limit its role to checking whether minimum wages and entitlements are given or not. The district administration had made it very clear that it wont decide anything about the quantum of hike and as a bench mark, it suggested the minimum wage that is given in MGNREGS, i.e Rs. 125.
The district administration intervened directly for three times to solve the deadlock, which was getting worse, with the labour union representatives taking law in to their own hands and physically obstructing willing workers and even housemaids of officers from entering the premises. The situation changes only after a stern warning from the side of the district administration, that those involved in lawlessness will be taken to task, irrespective of its repercussions on the industrial climate.
After coming down their initial stand of not accepting anything less than equal pay for daily wage contractual labourers with those of regular ones, the discussion then finally came to deciding the wage hike. after series of negotiations it was finally agreed by both the sides that the daily wages will be hiked to Rs. 150, which happens to be the highest in the area and on an agreement that there wont be any more hike even if the minimum wage is revised by teh government and it happens to be below this agreed hike.
Sub Collector Rayagada, Sri. Mishra and dist labour officer played a major role in in diffusing the crisis.